Colorado home loans for business owners, from the Springs to the ski towns
We are based in Colorado Springs. We qualify Colorado owners on bank statements, 1099s, or a CPA P&L, and we size the loan to your county, from the $832,750 El Paso County limit to $1,249,125 in Eagle County.
In Colorado, the county you buy in changes the loan, and the tax return undersells the owner in every one of them.
A Colorado self-employed mortgage is a home loan that qualifies business owners on bank statements, 1099s, or a CPA P&L instead of tax returns. It fits contractors in Colorado Springs, consultants in Denver, trades in Fort Collins, and owners in Grand Junction and Pueblo whose returns show less than they really earn. Colorado is our home state. The JD.Mortgage Team at PRMG is based in Colorado Springs, and we build a Colorado self-employed mortgage the same way for a Front Range starter home or a mountain second home. 25+ years, 3,100+ closed loans, Scotsman Guide Top Originator 2026. Lending in 49 states. New York excluded. If another lender said no, that is usually where our work starts.
Last updated: September 24, 2026
Colorado Self-Employed Mortgage: The Short Answer
Yes. A Colorado business owner can buy or refinance without tax returns. We qualify you on 12 or 24 months of bank statements, your gross 1099 income, or a CPA-prepared profit and loss statement. You need at least 2 years of self-employment and a credit score of 620 or higher.
As of Q3 2026 (September 2026): The minimum credit score is 620 on Non-Prime (75% LTV, 43% DTI) and 660 on Expanded Prime (80% LTV, 50% DTI) (PRMG Non-QM Income Qualifying Product Profile, 09/17/2026). Income comes from 12 or 24 months of bank statements, 100% of gross 1099 income, or a 12-month CPA P&L, with 2 years of self-employment (PRMG Non-QM Income Qualifying Product Profile, 09/17/2026). Loan amounts run from $100,000 to $3,500,000 (PRMG Non-QM Income Qualifying Product Profile, 09/17/2026). The 2026 conforming loan limit in Colorado is $832,750 in most counties, up to $1,249,125 in Eagle County and $862,500 across the Denver metro counties; El Paso County is $832,750 (FHFA 2026 conforming loan limits).
Who Uses a Colorado Self-Employed Mortgage
Front Range trades and contractors
From Pueblo to Fort Collins, painters, remodelers, electricians, and roofers run their own shops. Big jobs and storm repair work land in the bank in lumps. Their returns show what is left after equipment and trucks. Path: business bank statements, 12 months, or 24 months if the work is seasonal. If most of your jobs happen between April and October, plan on 24. Roofing and restoration crews carry heavy material costs, so ask us whether a CPA expense statement fits better than the flat 50%.
Mountain town owners with two seasons
Guides, rental managers, cleaners, and restaurant owners in ski counties earn in winter and summer and go quiet in the shoulder months. PRMG requires 24 months of statements when income is seasonal, and that longer window is what evens out mud season. Resort-county owners often buy where prices run highest. Our programs reach $3,500,000 at 70% LTV with a 700 score. Path: 24 months of personal or business bank statements.
Colorado Springs defense and aerospace contractors
Independent engineers, analysts, and trainers near the Springs bases are often paid on 1099s. We count 100% of gross 1099 income plus year-to-date deposits, checked against an IRS wage and income transcript. A new prime contractor or staffing firm is fine when you stayed in the same line of work. Path: 1099 income. See our Colorado Springs self-employed guide. Veterans should also compare VA loans in Colorado.
Denver and Boulder consultants with a CPA
Consultants, designers, and software freelancers who own at least 50% of their company and work with a CPA, EA, or CTEC preparer can qualify on a 12-month P&L. Deposits must land within 35% of P&L revenue. If your CPA did not file your last business return, we also need 2 recent months of business statements. Path: CPA P&L.
Bank Statements, 1099s, or a P&L: Which One Reads Your Income
Match the document to the way money reaches you. Steady deposits point to bank statements. Client 1099s point to the 1099 path. Clean books kept by a CPA point to the P&L.
| If this sounds like you | Start here | Score floor |
|---|---|---|
| Money lands in your account every week | Bank statements | 620 / 660 |
| Clients send you 1099s | 1099 income | 620 / 660 |
| A CPA already keeps your books | CPA P&L | 660 with 2 months of statements |
| Large savings, uneven income | Asset utilization | 660 |
Deep dives: bank statement loans, 1099 loans, P&L loans, asset utilization. Buying a rental? DSCR loans qualify on the rent.
Not sure which path reads your Colorado income best? We run every path you qualify for and show you the strongest number.
See What I Qualify ForHow Colorado’s Flat Income Tax Shapes a Self-Employed Return
Colorado taxes income at one flat rate. The rate was 4.25% for 2024 and 4.4% for 2025, per the Colorado Department of Revenue. The state charges it on modified federal taxable income. So your Colorado return starts from your federal return.
Here is where most explanations go wrong. People assume a flat state rate means owners skip write-offs. They don’t. Every deduction on the federal return also shrinks the Colorado return, because the state starts from the federal number. Trucks, tools, a home office, and depreciation all cut the net income a lender reads. A painting contractor can run a lot of money through the business and still show a thin Schedule C.
We don’t use that thin number. On a business bank statement loan we average your deposits and apply a fixed 50% expense factor. On personal statements we count 100% of deposits. Business tax returns and transcripts are not required.
Two things trip up Colorado files. Transfers between your own personal accounts do not count as income, so we strip them out. Transfers from your business account into your personal account are fine. And the guideline does not allow mixing personal and business statements in one file. We pick one method and build the whole loan on it.
One Colorado caution: cannabis income
Colorado licenses cannabis businesses, but cannabis is still illegal under federal law, as the state’s own cannabis site says. Federally regulated lenders can’t count income tied to the cannabis industry. That goes for owners and for businesses whose deposits come mainly from cannabis clients. If that is you, say so on the first call. We will tell you straight whether the file can work.
A Colorado Springs Example: Painting Contractor on Business Bank Statements
Tax return view (example)
- Schedule C net income: $62,400 a year
- Monthly income: $5,200
- Housing payment: $3,900
- Other monthly debts: $900
- DTI = $4,800 ÷ $5,200 = 92.3% → declined
Bank statement view (example)
- Average monthly business deposits: $24,000
- × 50% fixed expense factor
- Qualifying monthly income: $12,000
- Same $4,800 in payments
- DTI = $4,800 ÷ $12,000 = 40.0%
Same owner, same year, two answers. The return shows income after every write-off. The deposits show what the business actually brings in. At 40.0%, this file fits under the 50% cap at a 660 score and under the 43% cap at 620. One limit: the 50% factor can’t be used if a CPA has already documented expenses above 50%. Then we use the CPA’s expense figure instead.
What It Takes to Qualify in Colorado
| Item | Rule |
|---|---|
| History | Two years on your own; less can work if you did the same work on payroll first |
| Score | Starts at 620; 660 opens higher loan-to-value |
| Ratio | Up to 50% of gross qualifying income on Expanded Prime |
| Size | From $100,000 up to $3.5 million |
| Savings | 3 to 6 months of payments in reserve for most files |
| Land | 15-acre maximum; working farms are not eligible |
All figures from the PRMG Non-QM Income Qualifying Product Profile, 09/17/2026. No mortgage insurance on these loans.
Buying in Colorado: Two Markets, Two Sets of Loan Limits
Colorado is really two housing markets. The FHFA 2026 conforming limits show it. El Paso County, home to Colorado Springs, sits at the $832,750 baseline, like every county not listed below. The Denver metro counties sit a step higher. The mountain resort counties go up to $1,249,125.
| County (2026, one unit) | Limit |
|---|---|
| Eagle | $1,249,125 |
| Garfield, Pitkin | $1,209,750 |
| Lake, Summit | $1,092,500 |
| Moffat, Routt | $1,089,050 |
| San Miguel | $994,750 |
| Grand | $883,200 |
| Boulder | $879,750 |
| Adams, Arapahoe, Broomfield, Clear Creek, Denver, Douglas, Elbert, Gilpin, Jefferson, Park | $862,500 |
| El Paso and all other counties | $832,750 |
Those limits govern conforming loans. Our self-employed programs run from $100,000 to $3,500,000, so a resort-county buyer is not boxed in by them. Second homes are allowed on one-unit properties. Warrantable condos go to 89.99% LTV and non-warrantable condos to 80%. Foothill and mountain parcels hit two rules: a 15-acre cap and an 80% LTV limit on rural property.
Colorado deeds of trust are foreclosed through the county Public Trustee, not a court. That doesn’t change how you qualify. It is why your closing papers name the Public Trustee.
For a mountain second home, plan for reserves on top of the down payment. Expanded Prime needs 6 months of payments in the bank up to $2,000,000, 9 months at $2,500,000, and 12 months above that.
Colorado Self-Employed Mortgage Myths, Corrected
❌ Myth: “Bank statement loans are only for Denver and ski-town jumbo buyers.”
✅ Fact: The program starts at $100,000. A buyer in Pueblo or Colorado Springs, under the $832,750 El Paso County limit, uses the same deposit rules as a buyer in Eagle County.
❌ Myth: “Bank statement loans are only for people with bad credit.”
✅ Fact: They are for people whose tax return undercounts them. Borrowers from a 620 score up use them, and a 740 score reaches 89.99% loan-to-value on a primary home.
❌ Myth: “Writing off expenses ruined my chances.”
✅ Fact: Write-offs only shrink the income on a full-doc loan. On these programs we read deposits, 1099s, or a P&L, so the write-offs stay where they belong.
Turned down in Colorado because of your tax return? Send us your statements. We tell you what they support before you make an offer.
Run My NumbersColorado Self-Employed Mortgage Frequently Asked Questions
can i get a mortgage if i’m self employed in colorado
Yes. We qualify Colorado business owners on 12 or 24 months of bank statements, 1099 income, or a CPA-prepared P&L instead of tax returns. You generally need 2 years self-employed, a 620 score for up to 75% LTV, or a 660 score for up to 80%. We are based in Colorado Springs and do this every week.
what is the conforming loan limit in el paso county colorado for 2026
The 2026 one-unit limit in El Paso County is $832,750, the national baseline. The Denver metro counties are $862,500, Boulder is $879,750, and Eagle County is $1,249,125. Our self-employed loans are not tied to those limits. They run from $100,000 to $3,500,000.
can i use cannabis income to buy a house in colorado
Usually not. Cannabis is legal under Colorado law but still illegal under federal law, so federally regulated lenders can’t count income tied to the cannabis industry. If part of your income comes from cannabis, tell us early. We will look at whether your other income can carry the loan on its own.
do colorado mountain town business owners need 24 months of bank statements
Yes, if your income is seasonal. The guideline starts with a 12-month review, but when income rises and falls by season, 24 months of statements are required to confirm the pattern. For ski-season and summer businesses, the longer average usually helps because it counts both peaks.
Do Colorado lenders count 1099 income without tax returns?
We do. We count 100% of your gross 1099 income plus year-to-date earnings, averaged over at least 12 months, and confirm it with an IRS transcript. There is no expense cut taken off the top of 1099 income.
How many months of bank statements do I need?
Twelve months is the standard. If your income is seasonal, we use 24 months so a slow stretch is averaged against your busy months. Personal and business statements cannot be mixed in one calculation.
How long do I need to be self-employed to qualify?
Two years is the rule, and the business must exist for 2 years. With 1 to 2 years, we can still look at the file if you worked 2 years in the same line of work before going out on your own.
Can I buy a second home or rental with bank statements?
Yes. Primary homes, second homes, and investment properties all qualify. Second homes must be one unit. For a rental, a DSCR loan can qualify on the rent alone and keep your personal income out of the file.
Related Pages
About the Author
J.D. Peck is an Area Manager and Mortgage Loan Originator (NMLS #314883) with the JD.Mortgage Team at Paramount Residential Mortgage Group, Inc. (NMLS #75243), based in Colorado Springs. 25+ years, 3,100+ closed loans, Scotsman Guide Top Originator 2026. Lending in 49 states. New York excluded.
Last updated: September 24, 2026. Self-employed program facts sourced from the PRMG Non-QM Income Qualifying Product Profile, 09/17/2026. Loan limits from FHFA 2026 conforming loan limit values. Colorado tax and property facts from official Colorado state sources linked above.
Find Out What Your Colorado Deposits Qualify You For
Send your statements, 1099s, or P&L. We run every path that fits and show you the loan amount, down payment, and program before you write an offer.
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Source: JD.Mortgage Team at PRMG, Colorado Self-Employed Mortgage: Bank Statement, 1099, and P&L Loans, updated September 2026, https://jd.mortgage/colorado-self-employed-mortgage/
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